The global stocks have no clear direction.  The top U.S benchmark indexes modestly edged higher, about less than 0.5 %.  However, The midcap index Russel-2000 declined more than -1% as a weekly loss. The large-caps and growth stocks outperforming for the second consecutive week. Energy stocks fared worst on concerns that disagreements among major oil producers would result in some violating output restrictions.

The 10-year U.S. Treasury bond yield traded below 1.30% last Thursday from 1.74% late in late March. Wall Street analysts are expecting the most significant quarterly earnings growth rate.

The European benchmark Indexes booked weekly changes of about 0.24% % to -91% on recovering from a sharp pullback stemming from concerns that a surge in coronavirus cases might hobble global economic growth. The core Eurozone Treasury bond yields fell, international bonds rallied.

Most APAC benchmark indexes declined significantly, about -0.21% to -3.66%.  The Hong Kong index HIS-50 underperformed. Kospi-100 and Nikkei-225 stocks declined -2% and -3% respectively.

Weekly market movement

Underlying_2021-07-12-Global Stocks Have No Clear Direction

Gold closed higher about 1.5% as a weekly gain. U.S. crude oil prices fell modestly, breaking a string of six consecutive weekly gains that had lifted oil above $75 per barrel in the previous week. Bitcoin is continuing to range trading with high volatility.  (https://coinmarketcap.com/currencies/bitcoin/news/).                                                                                    

Sentiment Analysis

The below figure shows the news and social media sentiment trend for the week. The global sentiment trend turned in into a mixed direction. The U.S indexes S&P-500 and Nasdaq-100 showing a strong downtrend in the sentiment direction. On the other hand, the indexes Dow-30 and Russel-2000 showing the bullish view in sentiment trend.

The European indexes turn into neutral-positive from neutral-negative last week. The indexes FTSE-100 and FTSE-MIB showing an upward direction.  The indexes Dax-30 and CAC-40 remain neutral.

The Hong Kong index HSI-50 turn in to positive trend from its previous negative state last week. Kospi shows a modest uptrend in sentiment direction. The Japan index Nikkei-225 index is continuing to bearish sentiment trend. The rest remain sideways.

Sentiment Trend Chart

Sentiment Chart_2021-07-12-Global Stocks Have No Clear Direction

The following critical economic data refer to https://www.fxstreet.com/economic-calendar, including Hourly Earnings Growth, the CPI index, and Retail Sales growth. According to FactSet, Analysts expecting overall earnings for the S&P 500 to have expanded by nearly two-thirds over the year before. The second-quarter earnings for companies in the S&P 500 were forecast to jump an average of 69%.

Sentiment Values

Sentiment Table_2021-07-12-Global Stocks Have No Clear Direction

Note: The sentiment scores applied as an additional overlay to your existing models to further improve performance

Buy & Sell Signals

The below table shows the buy/sell signals generated based on InfoTrie’s proprietary Investment/ Trading models. These models developed using technical, fundamental, quantitative techniques and the news-based sentiment score as an additional overlay.

I have tabulated the random signals from several InfoTrie’s Trading/Investment models.

Buy_Sell_2021-07-12-Global Stocks Have No Clear Direction

The news sentiment score provides a significant improvement, significant “Alpha” compared to the traditional investment/trading models.

 For more details on the analysis, accessing complete tear sheets or white paper for the models, subscription details for News Sentiment data and other consulting works, please contact us with the information below.

InfoTrie Financial Solutions Pte. Ltd.
Alternative Data, Sentiment Analysis, Financial I.T. and A.I. Consulting

Read our previous blog posts. Want to access our data? Try our API or access our FinSentS platform

contact@infotrie.com
Suresh Kumar Ramani +65 9337 6035
Frederic GEORJON +33 (0)6 1304 0600


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